Potential power shortages put focus on energy efficiency

Posted: July 1, 2013 in Uncategorized

The energy regulator Ofgem warned last week that the UK’s spare electricity generation capacity could fall to just 2% by 2015, increasing the risk of blackouts to one in four years from one in 12 currently if demand reduction predictions are not met.

The growing risk of shortages is due to carbon emissions targets forcing a reduction in coal-powered generation, a greater reliance on more expensive imported gas and the global financial crisis impacting investment in new generation capacity.

One way of avoiding shortages could be a National Grid proposal to make payments to large industrial consumers to reduce demand during peak times (winter between 4-8pm). For the vast majority of businesses, however, this won’t be an option, leaving them at the mercy of the UK’s creaking energy system, and putting ever greater emphasis on reducing their own consumption, as well as exploiting on-site generation opportunities.

 

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Comments
  1. […] if energy companies freeze investment in new generation capacity what are the implications for the UK’s ability to keep the lights on? […]

  2. […] if energy companies freeze investment in new generation capacity due to this uncertainty what are the implications for the UK’s ability to keep the lights on? […]

  3. […] if energy companies freeze investment in new generation capacity what are the implications for the UK’s ability to keep the lights on? […]

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